Why is Laurus Labs falling/rising?

As of 04-Sep, Laurus Labs Ltd is currently priced at 873.40, reflecting a decrease of 1.95, or 0.22%. The stock has experienced a trend reversal, falling after three consecutive days of gains. Despite this recent decline, Laurus Labs has shown strong performance in the past week and month, with returns of 1.36% and 1.37%, respectively. The stock is trading above its moving averages across various time frames, indicating a generally positive trend. Additionally, the company has demonstrated impressive financial results, including a net profit growth of 1219.25% and a high return on capital employed (ROCE) of 18.50%. However, concerns about long-term growth persist, as operating profit has only grown at an annual rate of 7.84% over the last five years.
In the broader market context, Laurus Labs has outperformed the Sensex, which has returned 0.80% over the past week, while Laurus Labs achieved a return of 1.36%. The stock's strong performance in the short term, coupled with high institutional holdings at 37.63%, suggests confidence among informed investors. However, the stock's valuation appears expensive with a ROCE of 8.8 and a PEG ratio of 0.4, indicating potential risks if growth does not accelerate. Overall, while Laurus Labs has shown remarkable returns over the past year and outperformed benchmarks, the recent price decline may reflect profit-taking after a strong run and concerns regarding its long-term growth trajectory.